Livable wages are tough to come by, and it doesn't help that the federal minimum wage has seen minimal change since the 1980s. Lately, it's been up to the states to raise the minimum wage to better match what it costs to live in their states.

Michigan began a program this year that will increase the minimum wage over a period of years, all the way up to 2028, but Ohio may have just one-upped us. They just announced a new minimum wage to start on January 1st, 2025 that will be higher than Michigan's.

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Ohio took a similar path that Michigan did, enacting a steady increase in minimum wage pay for certain employees over a matter of time. They started the increases after voting in November of 2006 to raise wages by the inflation rate each year on Jan. 1st.

For 2024, Ohioans are making approximately $10.48 an hour on the low end, but on Jan. 1st, that will change, raising it to $10.70 an hour, making it the most substantial raise on minimum wage since the law's inception.

This raise will also push Ohio past Michigan for minimum wage. Currently, Michiganders only make $10.33 per hour on the low end, and will remain that way in January of 2025.

BUT, Ohio's reign on higher minimum wage will be short lived. On Sept. 21st of 2025, Michigan will raise its minimum wage to $12.48 per hour. So, Ohio can hang onto that little bit of time where they pay more than Michigan, but in the end, Michigan will take the lead.

For Ohio, the plan is to leave the rate increase in place as long as it is sustainable. While Michigan has a plant to stop its current rate raise in 2030, and phase it out. Though, by then, it is likely a new program will be ready in the wings.

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